Related Financial Services - The following list of company and services directories offer a wide variety of programs for consolidating bills and other similar services, such as a getting a mortgage refinance interest rate quote from a lender or an online quote for life or car insurance.
- Debt Management Programs - Too many credit cards and other bills to make monthly payments on? Start here by reviewing and comparing different debt management options for getting help with your credit card bills and other monthly obligations.
- Debt Consolidation Settlement - If you have a large amount credit cards and other unsecured debts, and have fallen behind your payments, this form of debt negotiation may be the right option for helping you with your financial problems.
- Debt Consolidation Services - Do you simply have too many credit cards and other bills? Review this directory for useful information and compare a list of service providers that may be able to help you.
After You Retire:
Managing Your Expenses on a Fixed or Reduced Income
Understand the pros, cons and costs before borrowing money with a "reverse mortgage." This is a type of home equity loan — a way to get cash by borrowing money using your home as collateral. But there are some important differences between a reverse mortgage and the traditional home equity loan.
First, a reverse mortgage is available to homeowners age 62 or older. Second, you don't need an income to obtain a reverse mortgage. And third, you don't need to pay back what you owe until you move out of the house, sell the property or die.
While there are potential benefits to reverse mortgages, they don't make sense for everyone. They generally are not advisable if you plan to stay in your home for less than five years or need extra monthly income for relatively small expenses. Among the reasons: The fees associated with reverse mortgage loans can be high. You still will be responsible for maintaining the house and paying property taxes. And, your beneficiaries won't inherit the full value of the house. They will have to pay off the loan either by refinancing or selling the house.
Also be aware that some unscrupulous individuals or companies have promoted reverse mortgages that were not in the consumers' best interest or that involved extra payments for unnecessary services.
For example, there have been reports of companies attempting to sell questionable home repairs or investments in connection with a reverse mortgage, or they charged a fee for information about reverse mortgages that is available for free from the U.S. Department of Housing and Urban Development (HUD) or other sources. One problem with using any loan product to fund an investment is that you could lose money on the investment and still owe on the loan.
How can you protect yourself? As with any loan you're considering, do some research using information from neutral, unbiased sources, such as HUD. If you later decide that a reverse mortgage is right for you, contact several reputable lenders and read and understand all documents and contracts, perhaps with the help of an attorney you trust, before you agree to anything.
For help or guidance regarding reverse mortgages, go online at http://www.hud.gov/buying/rvrsmort.cfm or contact a HUD-approved housing counselor by calling toll-free 1-800-569-4287. Also, to receive a reverse mortgage insured by the Federal Housing Administration (FHA), you must first speak with a HUD-approved counselor, who can help you determine if the program meets your needs.
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Spring 2008 | Manage Money | Credit Cards | Reverse Mortgage | Research Insurance |
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Last updated on 05/13/2008